H.R.4170 - Student Loan Forgiveness Act of 2012

To increase purchasing power, strengthen economic recovery, and restore fairness in financing higher education in the United States through student loan forgiveness, caps on interest rates on Federal student loans, and refinancing opportunities for private borrowers, and for other purposes. view all titles (2)

All Bill Titles

  • Official: To increase purchasing power, strengthen economic recovery, and restore fairness in financing higher education in the United States through student loan forgiveness, caps on interest rates on Federal student loans, and refinancing opportunities for private borrowers, and for other purposes. as introduced.
  • Short: Student Loan Forgiveness Act of 2012 as introduced.

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Displaying 31-60 of 63 total comments.

evans69 05/02/2012 12:46pm

I think I am looking at this bill has as an economic booster, 10% of the income is towards the bill, I paying around 50% of my income towards my loans, so if I was only paying 10% as well as many others, there will be more economic activity, meaning increase in spending, such as houses, and in turn creates a better atmosphere for investment, lower risk, lower price in credit, I can even see the dollar increase in value, therefore making all American’s happy, not just a few. I think outside of the box, maybe it time for everybody seek ways of improving the economy outside of the box, is it a handout? Or is it an investment in our economy? That is the question here, I see it as an investment in our economy, making it better for all Americans, as the economy grows all social classes will benefit.

nwilson7871 04/24/2012 2:34pm
in reply to AndyFiorello Mar 13, 2012 8:58pm

Andy, I understand your concern and I feel for you. However, there is not one person that held a gun to your head and made you go to college that cost 80K. Looking for a job? Join the military. They have student loan repayment plans where they will pay off your student loans in its entirety for a commitment of 5 or 6 years. I am a veteran that saw this coming…(student loans). I went into the Army, served for years and got my GI bill. I didn’t ask for a “handout” as other people here have said you are looking for. Granted it is technically “government money”, however it is also an employment contract. You have guaranteed work for 5 years, student loans wiped out and you can go directly to OCS (officer candidate school). DI know you have said you were over qualified for fast food and I agree, but our military is in need of REAL leaders. I was there and I have worked for some pretty dumb officers. Make a change and join the military, doesn’t matter what branch!

azsungal77 04/18/2012 2:20pm
in reply to BacktoBasics Mar 23, 2012 12:35pm

Hmm, they spend money just like the government. All it has done is make the people more dependent on government from a financial crisis they created.

Websurfer 03/24/2012 6:05pm
in reply to trm63 Mar 14, 2012 11:13am

And homeowners should get a bailout because they bought too big of a house and used their home as a retirement vehicle?

SFletcher 07/12/2012 3:51pm
in reply to kelmn07 Mar 30, 2012 1:37pm

“Wasting money on women’s studies or psychology and such” – these are very viable things to study and enhance a needed knowledge in society.

ColtonProvias 03/27/2012 6:43pm

Upon reading this bill, it seems more of a bill that will get Democrats praising it while aiming to anger Republicans, especially with the Overseas Contingency Operations line at the very end. It seems doomed to not pass and if it ever makes it to vote will become quite the hot topic in the media.

In my opinion, the best method may be to cap tuition along with all of the semester expenses (room, meal plan, activity fee, etc.) for public universities.

kelmn07 03/30/2012 1:37pm
in reply to trm63 Mar 14, 2012 11:13am

This just spews of ignorance. Fed loans are low NOW. Not then. Not when the people that are suffering now took them out. 6.8% fixed for a federal loan-not refinance-able. Get it? Private would have been higher. What other choice was there?

I’m sick of reading these stupid, uninformed responses of people spending financial aid on trips, or wasting money on women’s studies, or psychology and such-these are moronic, false statements. I know I never took trips or even had direct access to any of my loans, they were paid directly to the school. Stop spreading stupidity.

Kickedout 01/22/2013 6:28pm

Time to pay up for what you owe! This is what is wrong with this generation, no one feels they are responsible for their actions and decisions .

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NGoyette 11/27/2012 12:02am
in reply to Flash Mar 21, 2012 9:38am

Truly has no e in it. It is difficult to pay student loans back however, I support this bill. You sir are making a blind argument. This bill does not create a world in which you do not have to pay, it means you pay at reasonable rates without being abused by the private financial system. A system that proves over and over again that is criminally abuses our capital at our expense. It is a system that uses our payments and investments of all kinds as gambling money and hikes the rates for their playtime fun, when they make mistakes. Here are some basic economics and just well, a reflection that some of us read the legislation; capping an interest rate at 3.5% is in no way a handout. Do the math if indeed you have a degree. Your argument has no substance.

toray99 01/01/2013 12:37pm
in reply to StrawberryFields Mar 21, 2012 10:48pm

Then start going after professor salaries. Colleges that keep building new wings all the time.

NGoyette 11/27/2012 1:34am
in reply to tphill Mar 26, 2012 12:45am

I may not want the government paying for your bridges, but, I might one day need to drive over them, and not know it yet. Yours is a logical fallacy. You want the nurse or doctor that treats you when you might die from a car accident, to be exhausted from having to work extra hours, while taking care of their families, to pay back unreasonable loan rates when they are attempting to save your life? I would guess no. Again, the govt is not trying to give anybody anything free and clear, they are trying to set reasonable rates and make them standard, so you aren’t paying an ever expanding bill. They are trying to make it so that the bill you signed up to pay, is the bill you pay. Also, in terms of contracts, the thing about contracts is, that the economy can change what they mean, and when the economy tanks because of irresponsible folks that can’t pay back the real debt (banks, wall street) you can’t rescind your signature. America is not separate, we are us and them, join us.

pernition 11/16/2012 4:34am
in reply to Flash Mar 21, 2012 9:38am

Dearest Flash, your remark is infantile regurgitation in the plain style of sucker simple. You suggested to whomever claimed to be duped, they should go on ahead and pursue those who had done the duping.

Think really really really hard for a minute and try your darnedest to imagine a hybrid game play of the classic “Ten Thousand Puzzle Piece Dominoes Chutes & Ladders Monopoly Train Set.” Once you understand that game theory, you’ll quickly adjust your mind so long as logic and reason carry some weight with you.

SDietz 03/21/2012 9:28pm
in reply to Keirnal1 Mar 14, 2012 12:10pm

Where do you think the Federal Government got the money to give out the loan in the first place?

ebrianna 08/19/2012 11:04am
in reply to BacktoBasics Mar 23, 2012 12:35pm

I agree that tuition prices need to be addressed; the cost of tuition has risen over %800 since 1980. However, the immediate problem is the economy, and some economists are saying that we are in a depression. Money spent repaying debts does not contribute to the GDP, meaning no new products are being purchased. There’s about 1 trillion dollars of student debt that isn’t going to be spent on new products and services. With an already struggling economy, that is the issue that needs to be addressed first.

Addressing the tuition cost is another issue. One idea is that the government would cut off federal funded student aid from a school if they can’t justify tuition rises. That makes sense, but it could ultimately just hurt the students. I think schools should allow students a more active role in the spending of their tuition money. A student government could represent the students’s best interests to the school. Of course, the government couldn’t implement this.

briannak 11/14/2012 11:10am
in reply to briannak Nov 14, 2012 11:08am

By the way, I graduated in May and earned my Bachelor of Science degree in Biology.

darkshark67 03/24/2012 7:51am
in reply to AndyFiorello Mar 13, 2012 8:58pm

AMEN!

briannak 11/14/2012 11:08am

However, if 1 in 5 people default on their loans and are unable to contribute to our capitalist economy, what will happen then? Unfortunately, it will be worse than the housing crisis. So before the levee breaks and burdens taxpayers at some point in the future, why not address the problem and pass the bill? Everyone in our society can benefit from the bill – from the student suffering from debt, to the parent who co-signed, to the business owner who needs people to pay for their items. It is a broad problem and HR 4170 addresses the problem in a practical way.

kelmn07 03/30/2012 1:41pm
in reply to Flash Mar 21, 2012 9:43am

Right because private institutions and lack of reforms really seam to be working for the better, airline industry – boom. Housing market – boom. Student loans – boom. Amazing how it didn’t happen when privatization existed.

briannak 11/14/2012 11:08am

After reading many of the comments about the Student Loan Forgiveness Act, I would like to add a few things. Like so many of you, I am a student burdened by over $130k in student loan debt. Although I was awarded scholarships every year, I needed to borrow money. My middle-class parents were unable to support college costs, but they stressed the importance of a college education. I do not blame my parents at all – they were doing what our society told them to do. That a higher education leads to overall success in life. I also want to stress that I take responsibility for my loans. Since my repayments exceed my full-time income by $300/mo, I would like to see things change. I would like to have the lenders change their own out-dated conditions and access repayments based on income. The reason that they don’t is simple – they believe that they would make less money. …

Websurfer 03/24/2012 6:12pm
in reply to BacktoBasics Mar 23, 2012 12:43pm

Because private loan vendors don’t care if you have financial hardship, lose your job, get disabled (sometimes they can get discharged for disability in bankruptcy). Plus, private loans are usually repaid in 25 year terms. They love deferments and forbearance because they interest accrues and you have to pay it back.

ressy 03/14/2012 11:46pm
in reply to libbypw Mar 11, 2012 3:50am

What a load of socialist dreck and legal double talk intended to obfuscate readers. Why in the world would the Overseas Contingency Operations be responsible for students loans?

I’m not sure yet what I think about most of this bill, and I’d say I’m usually pretty cynical about the entire GWOT/OCO concept… but, section 7 makes no sense to me either, just the same. Kudos for focusing on the actual content and pointing that out. What’s up with that?

And for anyone also thrown off by the shifting terminology:

‘Global War On Terror’ Is Given New Name

randywandarusell 04/29/2012 12:57pm

Please include students with JOINTLY CONSOLIDATED FFEL LOANS in this relief program! My husband and I are in this situation, and while we individually qualify for every program to assist with student loans currently available, because we jointly consolidated at the recommendation of our lender before it was decided it was a horrible idea, we do not qualify for anything! I would at the very least like the opportunity to refinance these loans at a lower interest rate so that we could actually make some progress on this mountain of debt!

kelmn07 03/30/2012 1:41pm
in reply to kelmn07 Mar 30, 2012 1:41pm

*When privatization didn’t exist.

AndyFiorello 03/31/2012 11:30am
in reply to BacktoBasics Mar 23, 2012 12:35pm

I agree with you, BacktoBasics, the increase in tuition is quite a problem and the government should step in to better regulate the schools. Another problem I see though, is also the rise of many schools encouraging students to go with private lenders like Sallie Mae. I currently have most of my loans through them because they were supported by DeVry. I was told I could consolidate my loans after I graduate, and there would be a number of repayment options so that I wouldn’t need to worry. However, those options went away not long before my graduation date.

Sallie Mae no longer offers consolidation, and they don’t have many refinancing options either. Since they aren’t backed by the government, they don’t have to offer IBR repayment or forgiveness. However they will give me a forbearance, with a $150 fee, so that the interest can capitalize and increase my balance. Also they have the same protections from bankruptcy that the fed loans have, so I’m stuck with them.

only1ranger 04/18/2012 9:02pm

Forgiveness is a terrible idea. People will never learn from their poor decisions. Putting a cap on interest rates or capping deferment penalties may help but the loan provider needs to get their investment back plus interest for taking the risk.

I have some friends who missed loan payments and had to differ a number of times. They blame the loan provide and in each case it was my friend who made terrible decisions on how to spend their money. Buying new cars, spending hundreds going out partying every month, vacations, etc. Fools.

kelmn07 03/30/2012 1:45pm
in reply to franhinkle Mar 21, 2012 4:55pm

bq I was fortunate enough to take advantage of a consolidation program a few years back.

Which explains why you had no problem paying back your loans. I’d also be curious to know what your starting salary was compared to your loan amount then, as opposed to graduates are at now. In my first two years at a ‘real job’ after graduation I made the same as I did waitressing.

tsroberson12 04/26/2012 7:23pm

I knew that I was going to pay back the amount I borrowed. I made the biggest mistake in taking out private loans. By the time I graduated with my masters degree, the interest was nearly more than the principal. I am truly blessed to have a job where my degree is actually used, however, I make NO money. I’ve never missed a payment, never been in deferment and nor have I ever or will ever put my loans in forbearance. I was always told that student loan debt is “good debt”. That is such a lie. My credit is PERFECT but due to the amount I make and how much “good debt” I am in, I can not get my own home, own car or even a small loan. Getting a degree was to help me get a home and my own car. I do not have money to pay my rent so I had to move back in with my parents. At first I felt horrible but I have great parents that do not charge me rent. I want to own my own home one day and this bill will allow that for me.

tsroberson12 04/26/2012 7:19pm

I knew that I was going to pay back the amount I borrowed. When I made the biggest mistake in taking out private loans. By the time I graduated with my masters degree, the interest was more than the principal. I am truly blessed to have a job where my degree is actually used, however, I make NO money. I’ve never missed a payment, never been in deferment and nor have I ever or will ever put my loans in forbearance. But, I do not have money to pay my rent so I had to move back in with my parents. At first I felt horrible but I have great parents that do not charge me rent. I want to own my own home one day and this bill will allow that for me. Myself and other want to pay the loan off but we should pay what we borrowed. I borrowed 35k, no 50k.

nokonwod 04/25/2012 12:40pm
in reply to Flash Mar 21, 2012 9:38am

I am unsure about Andy, but the US Government Duped me. I was completely and totally convinced that I would need that piece of paper to succeed. And my parents and myself were literally advised that this was the best and only way to have a future. They even brought representatives right into the high schools to help you sign your life away. Lowered payments were not an option for us when we could not get the jobs to make the pay. The government failed to support industry in the US costing many jobs that we were promised would be there. I do not regret my decision to attend school, only my decision to borrow to do so. I don’t run up credit cards and buy homes I can’t afford and yet those folks get forgiveness by the government – I am asking the government to provide a little help for me – so I can have a chance at helping my own children succeed.


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